An aggregate production function shows ________.
A) various combinations of labor and capital that can be used to produce a particular good
B) various quantities of two goods that can be produced at a given cost
C) the relationship between a country's output and its price level
D) the relationship between a country's GDP and its factors of production

Question

Quizplus · Accepted Answer

An aggregate production function illustrates the relationship between a country's GDP (Gross Domestic Product) and the factors of production it utilizes, such as labor, capital, and technology. This function is used to analyze how different inputs contribute to the overall output of an economy.

An Aggregate Production Function Shows ________